Independent Bank was recently recognized as a 2020 top US community bank by S&P Global Market Intelligence.
To compile the top community banks, S&P Global Market Intelligence calculated scores for each company based on six metrics: pretax return on tangible common equity, efficiency ratio, net interest margin, operating revenue growth, leverage ratio, and nonperforming assets and loans 90 days or more past due as a percentage of total assets, net of Paycheck Protection Program loans. Each company’s standard deviation from the industry mean was calculated for every ranking metric, weighted, then combined to derive a performance score.
Criteria for the ranking included total assets between $3 billion and $10 billion; a gross loans and leases-to-total assets ratio, net of PPP loans, of at least 25% with no more than half of those loans in credit cards; a leverage ratio of at least 5%; no active severe enforcement action, a result other than “substantial noncompliance” in the bank’s most recent Community Reinvestment Act exam; and no more than half of the entity’s revenue coming from nontraditional banking activities.
In total, 168 top-tier banks were eligible for ranking, and Independent Bank was ranked 39th. To learn more about Independent Bank, visit IndependentBank.com.